For years ive heard the gold bug arguments agianst bitcoin and for gold, and for years ive heard the bitcoiners arguments against gold and for bitcoin.
I have come to realise that gold bugs are expecting and preparing for hyperinflation, while bitcoiners are expecting and preparing for bank failures.
Gold is sound money but it cannot replace global payments, online transactions, or sending money around the world. It is only a hedge against hyperinflation and thats it.
Heres the thing, it takes DECADES for hyperinflation to form. Look at Argentina or Venezuela or Lebanon or Turkey, they have inflation at 50% 80% 120% 400% and they still havent seen a world where everyone is living off of gold, they still go about their lives using their fiat currencies. For them gold is a nice luxury to buy if they can afford to save any money at all but for 90% of them gold is useless because they cant afford to save anything, inflation means they live paycheck to paycheck.
It has taken decades and deacdes of severe mismanagement to get to this level of inflation which means gold bugs might still be waiting another 20, 30, or 40 years for America to get to 50% or 100% inflation.
Bitcoiners on the other hand are not preparing for hyperinflation we are preparing for bank failures, as noted in the genesis block "chancellor on brink of second bailout for banks".
On the other hand a wave of bank failures is an event that can start without notice and spread like wildfire, and bank failures are what make bitcoin a necessity.
If your bank becomes completely unreliable, your bank card doesnt work, ATMs are down, and online banking goes dark, whats the first thing you do? In a panic you go online to see what the alternatives are, and online theres 1000 people showing you how to download a bitcoin wallet, how to get paid in bitcoin and how to sell your goods and services for bitcoin.
A banking crisis triggered by a sovereign debt crisis is something that could cause bitcoin to rise insanely fast in order to account for the liquidity needed to service the increased payment and transaction volume.
Its clear that gold bugs are preparing for hyperinflation which may never come and if it does come it will take decades, while bitcoiners are preparing for a financial crisis and banking crisis which could happen any day causing bitcoins price to explode seemingly overnight.
To top it all off bitcoin is scarcer than gold making it a better hyperinflation hedge if ever there is hyperinflation.
Bitcoin is the solution not gold.
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